Net exports for the United States are:

All economists agree that in the short run:

Macro failure is possible.

Macro failure may occur because the price-output relationship at equilibrium may not satisfy our macro goals. Also, even if the designated macro equilibrium is optimal, it may be displaced by macro disturbances.

If consumers spend 98 cents out of every extra dollar received, the:

If consumers save 8 cents out of every dollar receives, the"

If government spending increases, which causes producers to hire more workers, and as a result households have more income to spend, which causes aggregate demand to increase even more, this is known as the:

Multiplier process.

every dollar of fiscal stimulus has a multiplied impact on aggregate demand.